Government demands more industry involvement with new AIC plan template

Minister for Defence Industry, Christopher Pyne, conducts press conference in front of BAE Systems Australia Patria AMV35 (left) and Rheinmetall Boxer CRV at Puckapunyal Range, Victoria.Minister for Defence Industry Christopher Pyne has announced changes that are intended to strengthen the requirement for Australian industry involvement in Defence projects.

Minister Pyne said in a statement that these changes relate to the process that companies undergo when responding to tenders for Defence equipment.

The changes address:

  • a tenderer’s strategy for maximising Australian industry involvement in a project and enduring industry capability benefit beyond the work period;
  • maximising inclusion of and providing evidence of having engaged with Australian SMEs and Indigenous Business Enterprises;
  • proposed investment in innovation and collaborative R&D efforts in Australia;
  • establishing, transitioning or enhancing skills, knowledge, systems, technology and infrastructure within Australian industry; and
  • identifying and promoting Australian export opportunities and participation in global supply chains.

“The Australian Industry Capability plan template has been strengthened in line with Government’s defence industry policy of maximising Australian industry involvement in meeting Australia’s defence capability goals, creating thousands of long-term jobs across the country and economic growth,” said Pyne.

“This new template demands more than ever before from defence companies, driving them to outline how and where they will involve Australian industry before we will even consider their bid.”

The new AIC plan template has already been used for the SEA 1180 Offshore Patrol Vessels request for tender and the SEA 5000 Future Frigates request for tender, and is being rolled out across other procurement processes.